Some thoughts on Bitcoin

I started following Bitcoin when it hit parity with the US Dollar a few years back. I remember the excitement of it. I did get a little swept away in the enthusiasm and euphoria of it. The technology was then, as it is now, completely world changing, and I still believe that. 

It was fun to follow things like Doge as they went from nothing to interesting, and then back to nothing again. I enjoyed taking part in those communities. But the early altcoins illustrated a problem you see with Bitcoin, and it's one that hasn't really been addressed.

You see, the early altocoins were mostly app driven. "Hey, I've got an altcoin for a particular app, and I think it will be good to address the problems and concerns of this industry/segment/ngo, need." That's still being done, and it's a good thing, in total.  Kodak just released one, and I'm not knocking it. I believe in freedom, so I see no issue in there being money for this app and money for that app. It's no problem.

Of course, I find the ones that add new functionality or algorithms, or encryption schemes to the blockchain a lot more interesting, but that's not really here nor there. Personal opinion.

Excited about all these potential new apps, one thing I did was go out and learn Bitcoin protocol. I experimented with marketplaces, and topics like hot and cold wallets. The security practices around Bitcoin are fascinating. I like the idea of being able to do business in it. You'll remember that this was the original promise. It's a currency, after all, and you should be able to earn it. 

A few big sites implemented it. Fiverr, my web hosting company. A couple of mom and pops added it as a payment option, and those guys are still around, still doing it. And in that space, there was some really novel work being done. I know personally no less than five people who have implemented Bitcoin credit card schemes, which would be essential in a world powered by BTC.

But I think it's clear now that there isn't a tidal wave. There isn't going to be the kind of revolution we wanted. At least, not right now. A revolution would require the common man adopting the technology and using daily. It would require apps where a normal person can go to earn a living, trade services, earn Bitcoin, like we all wanted back in the day.

Those types of apps can be compelling. Just look what Bitcoin has done to the black markets. In the years since the Silk Road, drug related violence has plummeted across the globe. Consumers can now buy more kinds of pot from more places than they ever thought possible. And all they had to do was create a second internet to get there. It just goes to show that when there is market demand for a product, the marketplace will find a way. It's remarkable.

The black markets have been incredibly successful. One could make the argument that the black markets still remain Bitcoin's biggest and most successful application. 

But what about the rest of us? Middle aged guys who don't do drugs or live in spy novels?

Well, for us, we don't have Bitcoin as currency at all. We have it as a high risk investment vehicle, and that bothers me.  Obviously, if Bitcoin is a currency, it should be traded like a currency. But if it is a currency, there should be applications don't carry prison time. You should be able to earn Bitcoin from your boring job as an accountant, or your weekend gig as a DJ. You should be to tell people that you're an accountant or a DJ.

And even though the gig economy offers unprecedented and boundless opportunity for pretty much everybody... there are still no labor marketplaces where Bitcoin is the primary currency.  And I wish there was. I wish, someone would give me money to create one. It makes sense, and I don't understand why this doesn't already exist.

We've had enough time. There are certainly are a lot of people with the skill to do it. Why are we content with being yet another tax write off for hedge fund managers, when we could be taking over the world, redefining entrepreneurialism, and making a difference?

Where's the revolution I signed up for?